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Impermanent Loss Calculator

See what providing liquidity really costs. Enter token prices at deposit and now to compare your LP position against simply holding, in both dollars and percent.

Written by TopicDrill Editorial Team·Updated June 2026

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Pool inputs

For a 50/50 pool. Enter token prices at deposit and now.

$
$
$
$
$

Impermanent loss

-2.02%

That's -$253 below just holding

Value if you held (HODL)$12,500
Value as LP (no fees)$12,247
Relative price move50.00%
Loss vs holding-$253

Loss vs relative price move

IL curve Your position
0%-11%-21%-32%-43%-90%0%+100%+400%

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How the impermanent loss calculator works

A 50/50 liquidity pool keeps the product of its two token balances constant, so when one token's price moves the pool quietly trades against you to stay balanced. This tool takes the price of each token at the moment you deposited and the price now, works out how far their relative value shifted, and applies the standard constant-product formula.

The chart plots impermanent loss across a wide range of price moves so you can see the shape of the curve. The dashed line and dot mark where your own position sits, making it clear how a bigger move in either direction deepens the loss versus holding.

A quick example

Say you deposit $10,000 split evenly between a token priced at $2,000 and a stablecoin at $1. The token then climbs to $3,000 while the stablecoin holds. That is a 50% relative move, which produces about 2% impermanent loss. Your position is worth roughly $200 less than if you had simply held the original tokens, before any swap fees are counted.

Things to keep in mind

Impermanent loss is only realised when you withdraw, and it can reverse if prices return toward your entry point. The figure here excludes trading fees and rewards, which are the reason many providers stay in profitable pools despite the loss. For the original explanation of constant-product pools, see the Uniswap docs. To project the upside if your tokens simply grow over time, try our future value calculator.

Frequently asked questions

What is impermanent loss?

Impermanent loss is the difference between holding two tokens in a 50/50 liquidity pool and simply keeping them in your wallet. When the relative price of the tokens moves, the pool automatically rebalances and you end up with more of the token that fell and less of the one that rose, so the position is worth less than just holding. The loss is called impermanent because it shrinks if prices return to where they started.

How is impermanent loss calculated?

For a constant-product pool, take the price ratio change as a factor k, which is the new relative price divided by the old relative price. Impermanent loss equals two times the square root of k, divided by one plus k, minus one. The result is always zero or negative, and it grows larger the further the price moves in either direction.

Do trading fees offset impermanent loss?

They can. Liquidity providers earn a share of swap fees, and over time those fees may more than make up for impermanent loss in a busy pool. This calculator shows the loss before fees so you can judge how much fee income you would need to break even against holding the tokens instead.

When is impermanent loss the smallest?

Impermanent loss is zero when the relative price of the two tokens is unchanged, and it stays small for stable pairs that barely move, such as two pegged stablecoins. It grows quickly for volatile pairs, so a token that doubles against its partner can lose several percent versus holding, even before counting fees.

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